Summary of Anta Sports Products Conference Call Company Overview - **Company**: Anta Sports Products (2020.HK) - **Related Company**: Amer Sports Key Industry Insights - **Amer Sports Performance**: Amer Sports reported a strong 3Q performance with an adjusted EPS of $0.33, exceeding consensus estimates of $0.25. Revenue increased by 29.7% year-over-year, surpassing expectations of 27.2% [1][3] - **Greater China Growth**: The Greater China market showed robust growth at 47% year-over-year, up from 42% in the previous quarter, with notable performance from brands like Salomon and Wilson [2][11] - **Arc'teryx Recovery**: The Arc'teryx brand experienced a recovery in Q4 after a slow start, attributed to cooler weather, which positively impacted sales [2][3] Financial Outlook - **Guidance Update**: Amer Sports raised its FY25 sales and EPS guidance, although the guidance for Q4 is slightly below consensus forecasts [1][3] - **Anta's Financials**: Anta's adjusted EPS is projected to be between $0.88 and $0.92, higher than previous estimates. The anticipated associate income from Amer to Anta is approximately RMB 1,170 million, representing about 9% of Anta's net income [10][11] Market Dynamics - **Outdoor Segment Trends**: The outdoor segment is expected to peak in Q4, with brands that have strong market presence likely to capitalize on peak season sales. However, some outdoor brands are showing signs of growth moderation and increased discounting due to competitive pressures [4][5] - **Consumer Preferences**: There is a sustained consumer preference for outdoor activities, leading to a shift from casual wear to outdoor apparel [3][4] Risks and Challenges - **Anta Brand Performance**: Concerns exist regarding the muted growth outlook for the Anta brand, particularly during the Double-11 shopping festival [5][21] - **Competitive Pressures**: Some outdoor brands are facing deeper discounting and growth slowdowns, which could impact overall market dynamics [4][21] Strategic Initiatives - **Store Expansion Plans**: Arc'teryx plans to close some stores in China while opening larger, more productive direct-to-consumer (DTC) stores, with expectations for net openings in Greater China into 2026 [13] - **Salomon's Growth**: Salomon's footwear segment continues to show strong growth, contributing positively to the outdoor segment's performance [12] Valuation and Investment Recommendation - **Price Target**: Anta is rated as a "Buy" with a 12-month price target of HK$115, indicating a potential upside of 43.6% from the current price of HK$80.10 [20][22] - **Valuation Metrics**: The valuation is based on a 21x P/E for 2027E, discounted back to mid-2026E at 11% [20] Conclusion - The overall outlook for Anta Sports Products remains positive, driven by strong performance from associated brands and a favorable market environment for outdoor activities, despite some near-term challenges and competitive pressures.

Core Insights - Anta's brand has lowered its full-year revenue guidance to low single-digit growth due to a combination of factors including weak consumer confidence and increased competition [1] - FILA and other brands maintain their full-year guidance, driven by a multi-brand strategy focusing on specialization and high-end growth [2] - The overall sportswear industry is expected to accelerate growth in 2026, with rising penetration rates and easing discount pressures [4] Group 1: Anta Brand Performance - In Q3 2025, Anta's main brand achieved low single-digit revenue growth, showing slight improvement from Q2 2025, with offline and children's lines growing in low single digits and online sales growing in high single digits [1] - The inventory-to-sales ratio for Anta's brand was slightly above five months at the end of the quarter, indicating a healthy level [1] - Anta's management has adopted a conservative strategy for the upcoming Double Eleven shopping festival, leading to a downward revision of the full-year revenue expectation from mid-single-digit to low single-digit growth [1] Group 2: FILA and Other Brands - FILA brand achieved low single-digit revenue growth in Q3 2025, with online sales showing high single-digit growth while offline sales faced low single-digit declines [2] - The inventory-to-sales ratio for FILA was approximately six months at the end of the quarter, expected to return to a healthy level of five to six months post-promotional events [2] - Other brands under the company saw an overall growth rate of about 50% in Q3 2025, with DESCENTE and KOLON SPORT achieving significant growth rates of over 30% and 70% respectively [2] Group 3: Market Trends and Future Outlook - The Southeast Asian market for Anta has seen nearly 80%-90% growth this year, primarily driven by same-store sales growth, despite not opening many new stores [1] - The company plans to increase its store count in Southeast Asia to 1,000 within three years, aiming for overseas revenue contribution to reach 15% within five years [1] - The overall sportswear industry is projected to see accelerated growth in 2026, with expectations of improved customer spending and reduced discount pressures [4]

Investment Rating - The report maintains an "Outperform" rating for ANTA Sports [2][7]. Core Views - The sportswear and footwear sell-through pressure has eased as the weather cools, with industry growth expected to accelerate in 2026 [1][11]. - ANTA's full-year guidance has been downgraded to low-single-digit growth, reflecting a conservative approach amid weak macro consumer confidence and intensified competition [3][11]. - The management is optimistic about the company's strong channel capabilities and successful multi-brand operation model, which supports sustained growth and market share gains [13]. Financial Summary - Current share price is HK$82.10 with a target price of HK$103.00, indicating a potential upside of 25.4% [2][13]. - Market capitalization stands at HK$230.47 billion (US$29.66 billion) [2]. - Revenue projections for 2025-2027 are RMB 78.35 billion, RMB 86.81 billion, and RMB 95.11 billion, respectively, with year-on-year growth rates of 10.6%, 10.8%, and 9.6% [9][13]. - Net profit attributable to shareholders is forecasted at RMB 13.68 billion, RMB 15.50 billion, and RMB 17.23 billion for the same period, with growth rates of -12.3%, 13.3%, and 11.2% [9][13]. - The P/E ratios for 2025-2027 are projected to be 15.4X, 13.6X, and 12.2X, respectively [13]. Brand Performance - ANTA brand achieved low-single-digit sell-through growth in Q3 2025, with online sales growing by high single digits [3][11]. - FILA brand maintained its full-year guidance with low-single-digit growth in Q3 2025, supported by strong online performance [4][12]. - Other brands under ANTA, such as DESCENTE and KOLON SPORT, reported significant growth rates of over 30% and 70%, respectively [4][12].

Core Insights - Anta Sports reported Q3 2025 retail data showing low single-digit growth for Anta and FILA brands, while other brands experienced a growth of 45%-50% [1] Group 1: Retail Performance - Anta brand retail showed low single-digit growth year-on-year, aligning with trends in the mass sports market, with channel adjustments expected to drive future growth [1] - FILA brand retail performance was relatively weak with low single-digit growth year-on-year, and inventory levels were noted to be high [1] Group 2: Discount and Inventory Management - Anta is expected to face weaker terminal discounts in the short term, but the inventory-to-sales ratio remains healthy [1] - For FILA, offline discounts are expected to remain stable, with an anticipated improvement in the inventory-to-sales ratio [1] Group 3: Future Outlook - The company is expected to enhance its brand matrix through acquisitions, with previous acquisitions like Jack Wolfskin contributing to long-term growth potential [1] - Projected net profits for the company from 2025 to 2027 are estimated at 13.1 billion, 14.6 billion, and 16.1 billion yuan, with corresponding P/E ratios of 17, 15, and 14 times [1] - The company's share buyback plan continues, providing short-term support for the stock price, maintaining a "buy" rating [1]

Investment Rating - The investment rating for Anta Sports is "Buy" and is maintained [6]. Core Views - Anta Sports reported Q3 2025 retail data, showing low single-digit growth for the Anta and FILA brands, while other brands experienced a growth of 45%-50% [2][4]. - The retail performance of Anta is under pressure, with expectations of a decline in terminal discounts, although the inventory-to-sales ratio remains healthy [6]. - FILA's retail performance is relatively weak, with high inventory levels, and it is anticipated that discounts will increase during the upcoming Double Eleven sales to clear stock [6]. - Short-term pressures are expected to continue affecting gross profit margin (GPM) and operating profit margin (OPM), while mid-term growth will rely on store adjustments and international expansion [6]. - The company forecasts net profits for 2025, 2026, and 2027 to be 131 billion, 146 billion, and 161 billion respectively, with corresponding price-to-earnings (PE) ratios of 17, 15, and 14 [6][8]. Summary by Sections Retail Performance - Anta brand retail shows low single-digit growth, aligning with market trends, while other brands are performing significantly better [2][4]. - FILA brand retail is underperforming with high inventory levels, and adjustments are expected to improve inventory turnover [6]. Financial Forecast - Revenue projections for Anta Sports are 70.83 billion for 2024, 78.63 billion for 2025, 86.40 billion for 2026, and 93.76 billion for 2027, with growth rates of 14%, 11%, 10%, and 9% respectively [8]. - The expected earnings per share (EPS) are 4.25 for 2024, increasing to 5.74 by 2027 [8].

Core Insights - Anta's retail sales for its main brands, including Anta and FILA, showed low single-digit year-on-year growth, while other brands experienced a significant increase in retail sales by 45% to 50% [1] - The company opened over 300 new stores nationwide during the National Day holiday, including various specialized store formats to enhance its market presence [1] - Anta has made technological advancements with the launch of a new high-performance waterproof material and a new warming technology derived from aerospace technology, aiming for sustainability in its product offerings [2] Retail Performance - Anta brand products' retail sales grew at a low single-digit percentage year-on-year - FILA brand products also saw low single-digit year-on-year growth in retail sales - Other brands under Anta experienced a retail sales increase of 45% to 50% [1] Store Expansion - Anta opened over 300 new stores during the National Day period, including: - 39 Anta flagship stores - 30 Anta champion stores focused on outdoor sports - 24 super Anta stores covering a full range of products - 41 Anta lighthouse stores offering professional sports products - 8 Anta outlet stores creating a scene-based outlet experience - 4 Anta collection stores for cross-style branding - 11 Anta children's stores for youth sports - 4 ANTA KIDS PARKs designed as scene-based outlet children's sports parks - 55 ANTA Linglong stores dedicated to children's exclusive IP [1] Technological Innovations - Anta launched China's first self-developed high-performance fluorine-free waterproof and moisture-permeable material, "Fluorine-Free Anta Membrane," in collaboration with Donghua University - The new generation of "Storm Armor" was also introduced, marking a breakthrough in the global high-performance waterproof fabric sector - Anta aims to increase the proportion of sustainable products to 50% by 2030 and plans to sell over 500,000 units of the new "Storm Armor" by 2026 [1] Market Strategy - Anta partnered with Wuhan Textile University to launch a new warming technology, "Anta Six-Degree Core Technology," which has been successfully commercialized for consumer use [2] - The HLSTYLED global tour reached major cities like New York, Shanghai, and Paris, with a successful event held in Paris, indicating Anta's strategic expansion into the European market - Anta is collaborating with JD Sports for offline sales and expanding its online presence across five European countries [2] Financial Outlook - The company adjusted its profit forecast but maintains a "buy" rating, citing long-term value supported by multi-brand strategies, operational efficiency improvements, and global expansion - Projected net profits for 2025-2027 are estimated at 13.2 billion RMB, 15.2 billion RMB, and 17.1 billion RMB, with corresponding PE ratios of 16x, 14x, and 12x [2]

Core Viewpoint - Anta Sports' ESG rating was upgraded from A to AA by MSCI, despite facing ecological damage claims related to its subsidiary, Arc'teryx, for an event in Tibet [2][3][4]. Group 1: ESG Rating and Environmental Issues - Anta Sports' MSCI ESG rating was upgraded to AA on October 17, 2023, following a previous downgrade to B in January 2023 [2][7]. - The upgrade comes amidst controversy over the ecological impact of a fireworks event sponsored by Arc'teryx, which has been labeled as "mountain blasting" by netizens [3][4]. - Anta Sports has not publicly detailed its plans for ecological compensation and restoration following the incident [5]. Group 2: Financial Performance - In Q3 2025, Anta and FILA brand products recorded low single-digit growth in retail sales compared to the same period in 2024 [9]. - Anta Sports' revenue grew from 355.12 billion to 708.26 billion from 2020 to 2024, nearly doubling in four years, while net profit increased by approximately 202% during the same period [8]. - Sales expenses grew significantly, reaching approximately 1,087.4 billion over five and a half years, accounting for 35% of total revenue of 3,102.17 billion [11]. Group 3: Inventory and Operational Challenges - Anta Sports is experiencing inventory buildup and operational challenges, with an average inventory turnover period of 136 days in the first half of 2025, compared to 61 days for Li Ning [11][12]. - The company's direct-to-consumer (DTC) reform initiated in 2020 has led to increased inventory levels as it transitioned inventory management from distributors to the brand [12].

Core Viewpoint - Anta Sports has faced ecological criticism due to its subsidiary Arc'teryx's involvement in an environmentally damaging fireworks event, yet its MSCI ESG rating has been upgraded from A to AA, raising questions about the company's commitment to ecological responsibility [2][3][5]. Group 1: ESG Rating and Environmental Issues - Anta Sports' MSCI ESG rating was upgraded from A to AA on October 17, 2023, despite ongoing ecological concerns related to its subsidiary Arc'teryx [3][5]. - The company has not publicly detailed its plans for ecological compensation and restoration following the environmental damage caused by the fireworks event [7]. - The fireworks event, held at a high-altitude location, has been deemed a human-induced disturbance with potential ecological risks that require monitoring [6]. Group 2: Financial Performance - In Q3 2025, Anta and FILA brands recorded low single-digit growth in retail sales compared to the same period in 2024, indicating a slowdown in growth [11]. - Over the past five years, Anta Sports' sales expenses have significantly increased, totaling approximately 1,087.4 billion, which is 35% of its total revenue of 3,102.17 billion [13]. - The company's revenue growth has slowed, with a reported revenue of 385.44 billion in the first half of 2025, reflecting a year-on-year increase of 14.3% [12].

Investment Rating - The report maintains a "Buy" rating for Anta Sports, with a target price not specified [7]. Core Insights - Anta's retail sales for its main brand and FILA brand showed low single-digit year-on-year growth, while other brands experienced a significant retail sales increase of 45% to 50% [1]. - The company opened over 300 new stores nationwide during the National Day holiday, including various specialized store formats to cater to different market segments [2]. - Anta has made technological advancements, launching China's first self-developed high-performance fluorine-free waterproof and moisture-permeable material, with plans to increase the proportion of sustainable products to 50% by 2030 [3]. - The HÉLÀ STYLED global tour has expanded Anta's presence in Europe, with successful events in major cities and a strategy to enhance online and offline market penetration [4]. - The profit forecast has been adjusted, with expected net profits for 2025-2027 at 13.2 billion RMB, 15.2 billion RMB, and 17.1 billion RMB, reflecting a slight downward revision from previous estimates [5]. Summary by Sections Retail Performance - Anta's main brand and FILA brand retail sales showed low single-digit growth, while other brands saw a 45%-50% increase [1]. Store Expansion - Over 300 new stores were opened, including various specialized formats such as champion stores and children's stores [2]. Technological Innovation - Anta launched a new fluorine-free waterproof material and plans to increase sustainable product usage significantly by 2030 [3]. International Strategy - The HÉLÀ STYLED global tour has enhanced Anta's brand visibility in Europe, with a focus on both online and offline sales channels [4]. Financial Forecast - Adjusted profit forecasts for 2025-2027 indicate net profits of 13.2 billion RMB, 15.2 billion RMB, and 17.1 billion RMB, with a PE ratio of 16/14/12x respectively [5].

截至月份: 2025年10月31日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 安踏體育用品有限公司 呈交日期: 2025年11月3日 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | | 股份類別 | 不適用 | | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 02020 | | 說明 | 不適用 | | | | | | | | 多櫃檯證券代號 | 82020 | RMB | 說明 | 不適用 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | | 5,000,000,000 | HKD | | 0.1 | HKD | | 500,000,000 | | 增加 / 減少 (-) | | | | 0 | | | | HKD | | 0 | | ...